Banknifty analysis
An Anchored VWAP is drawn with anchor date 28th Jan 2021 which was the previous swing low. The price took support initially at 23rd Feb, 1st March. It finally broke below AVWAP on 15th March, retraced the AVWAP line on 16th March, and continued the downward trend. We could conclude that the bear has taken control of the market. It then acted as resistance on 29th April and 18th May. Price finally broke above AVWAP on 21st May which started a bull phase of the BNF. What's interesting to see here is two AVWAPs with anchor dates 28th Jan and 16th Feb (previous swing low and high respectively) almost coincide near price level 34000 for last one or two months forming a sort of zone of confluence. This must act as strong support for BNF. We must watch for this level in the near future and trade accordingly. The next immediate level of support is 33500 although not so strong.
IN SHORT- STRONG SUPPORT FOR BNF AT 34000.
IN SHORT- STRONG SUPPORT FOR BNF AT 34000.
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